PUBLISHER: KBV Research | PRODUCT CODE: 1803947
PUBLISHER: KBV Research | PRODUCT CODE: 1803947
The North America Audio Codec Market would witness market growth of 5.9% CAGR during the forecast period (2025-2032).
The US market dominated the North America Audio Codec Market by Country in 2024, and would continue to be a dominant market till 2032; thereby, achieving a market value of USD 2,361.4 million by 2032. The Canada market is experiencing a CAGR of 8% during (2025 - 2032). Additionally, The Mexico market would exhibit a CAGR of 7% during (2025 - 2032). The US and Canada led the North America Audio Codec Market by Country with a market share of 71.2% and 12.4% in 2024.The US market is expected to witness a CAGR of 5.2% during throughout the forecast period.
The audio codec market for in North America has evolved from simple SBC-based Bluetooth audio to more sophisticated, inclusive technologies driven by the LC3 codec and Bluetooth LE Audio. When LE Audio was finalized in 2022, it offered low-power, high-fidelity audio along with features like AuracastTM broadcasting and multi-stream support. In addition, OEM adoption has been sped up by regulatory requirements, most notably the FCC's 2024 ruling mandating that all future phones be compatible with hearing aids by 2028. Furthermore, these days, LE Audio-ready chipsets are available from players such as Infineon and Qualcomm, and many device manufacturers are incorporating these features into their current models by updating the firmware.
The market is expanding more quickly due to consumer demand for increased accessibility, reduced latency, and clarity. Smartphones, TVs, and hearing aids are all benefiting from LE Audio's features, which include better synchronization and public broadcast audio. Open-source integration and over-the-air upgrades are two ways that companies like Qualcomm and LG are encouraging adoption. The competition is shifting its focus from proprietary codec licensing to seamless ecosystem integration, regulatory compliance, and premium user experience as LE Audio becomes the industry standard. In terms of providing inclusive, next-generation audio technologies, North America is becoming a leader.
Function Outlook
Based on Function, the market is segmented into Without DSP and With DSP. With a compound annual growth rate (CAGR) of 5.3% over the projection period, the Without DSP Market, dominate the US Market by Function in 2024 and would be a prominent market until 2032. From 2025 to 2032 The With DSP market is expected to witness a CAGR of 4.7% during (2025 - 2032).
Component Type Outlook
Based on Component Type, the market is segmented into Hardware Codecs and Software Codecs. The Hardware Codecs market segment dominated the Canada Market by Component Type is expected to grow at a CAGR of 7.7 % during the forecast period thereby continuing its dominance until 2032.
Country Outlook
Strong wireless standards, consumer demand, and government focus on making things easier to use, especially through the FCC's hearing-aid compatibility rules, have made the US the leader in audio codec innovation. Bluetooth LE Audio, which is based on advanced LC3 technology, has become very popular on consumer devices. It is based on early codecs like SBC and AAC. Bluetooth-enabled assistive listening in airports is an example of a public sector deployment that supports regulatory goals. One important trend is that more people are using Auracast(TM) broadcast audio, and there is also a growing need for high-resolution, low-latency streaming in gaming and entertainment. Instead of competing with each other, companies in the market focus on collaborative standards and interoperability. This means that systems must be open and strong.
List of Key Companies Profiled
North America Audio Codec Market Report Segmentation
By Function
By Component Type
By Application
By Country